What are the other ways Betterment makes my investments more tax efficient?

Tax Loss Harvesting+ is only one piece of the suite of tax optimization services we offer to all customers. More tax benefits we include: *Tax Impact Preview allows customers to see the estimated tax consequences of a withdrawal, allocation change, or goal-to-goal transfer before they complete the transaction. This allows customers to make tax-informed decisions when managing their investments.

TaxMin lot selling Every customer benefits from our TaxMin cost basis accounting method, where we sell lots with losses before gains, and lots with long-term gains before short-term gains. It is a more efficient way to handle accounting that can save thousands in taxes.

Smart rebalancing We use all cash flows and dividends as an opportunity to rebalance your portfolio. This reduces the need for hard rebalancing, which lowers your capital gains tax over time. Our sophisticated infrastructure will never rebalance your short-term capital gains.

Assetlocation In your non-IRA accounts, one asset class includes municipal bonds where you will be exempt from federal and most state taxes. We’ll put core bonds in your IRA accounts, where they can grow tax-free.

Investments: Not FDIC Insured • No Bank Guarantee • May Lose Value. Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Before investing, consider your investment objectives and Betterment's charges and expenses. Betterment's internet-based services are designed to assist clients in achieving discrete financial goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client's financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see our Form ADV Part 2 and other disclosures. Past performance does not guarantee future results, and the likelihood of investment outcomes are hypothetical in nature. Not an offer, solicitation of an offer, or advice to buy or sell securities in jurisdictions where Betterment is not registered. Market Data by Xignite.